Money & The Economy

Home Prices Inched Down in July While Sales Dropped and Inventory Grew

A double-digit drop in home sales from June to July fueled a double-digit increase in homes for sale, triggering the first decline in the Median Sales Price since January.

July’s Median Sales Price of $415,000 was down 2.9% from June and the lowest since April’s $406,000. The 16.6% decline in home sales was also the first since January. Year-over-year, sales were down 26.3% from July 2021.

Following a period of continual contraction in recent years, inventory jumped for the fourth consecutive month. There were 13.3% more homes for sale than in June and 30.4% more than a year ago. Months Supply of Inventory has doubled since May and is now at 1.8, while Days on Market was 24. New listings, however, dropped 7.8% compared to June and 7.2% compared to July 2021.

“It’s an exciting time to be a homebuyer. For the first time in years, we’re seeing sustained inventory gains and the slowing of home price appreciation,” said Nick Bailey, President and CEO. “The market is rebalancing after favoring sellers for so long. There’s still ground to make up with new construction, but the change in recent months has brought some much needed relief to buyers. And sellers still have it good, too. A calming market doesn’t mean a stoppage – and there are plenty of benefits to being on that side of the equation.”

Added RE/MAX North Professionals real estate agent Rich Gardner, who is based in Colchester, VT, “The housing market in Vermont has stayed strong favoring sellers. Since January, we are still seeing values in Chittenden County rise for both single-family and townhouse-condo sales.”

The average Close-to-List Price Ratio in July was 101%, meaning that homes, in general, sold for 1% more than the asking price. That dropped from 102% in June 2022 and July 2021.

Highlights and the local markets leading various metrics for July include:

New Listings 
Of the 53 metro areas surveyed in July 2022, the number of newly listed homes is down 7.8% compared to June 2022 and down 7.2% compared to July 2021. The markets with the biggest decrease in year-over-year new listings percentage were Kansas City, MO at -47.7%, St Louis, MO at -36.9%, and Burlington, VT at -32.2%. Leading the year-over-year new listings percentage increase were Dover, DE at +39.4%, Phoenix, AZ at +34.1%, and Trenton, NJ at +19.1%.

New Listings:
5 Markets with the Biggest YoY Decrease
MarketJul 2022
New Listings
Jul 2021
New Listings
Year-over-
Year %
Change
Kansas City, MO3,6086,901-47.7 %
St. Louis, MO4,8627,700-36.9 %
Burlington, VT244360-32.2 %
Anchorage, AK7141,016-29.7 %
San Francisco, CA4,6456,009-22.7 %

Closed Transactions 
Of the 53 metro areas surveyed in July 2022, the overall number of home sales is down 16.6% compared to June 2022, and down 26.3% compared to July 2021. The markets with the biggest decrease in year-over-year sales percentage were Houston, TX at -45.1%, San Diego, CA at -42.1%, and Miami, FL at -40.9%. No metro area had a year-over-year sales percentage increase.

Closed Transactions:
5 Markets with the Biggest YoY Decrease
MarketJul 2022
Transactions
Jul 2021
Transactions
Year-over-
Year %
Change
Houston, TX5,83610,625-45.1 %
San Diego, CA2,2423,875-42.1 %
Miami, FL6,49711,001-40.9 %
Salt Lake City, UT1,1371,874-39.3 %
Las Vegas, NV2,7304,394-37.9 %

Median Sales Price – Median of 53 metro area prices
In July 2022, the median of all 53 metro area Sales Prices was $415,000, down 2.9% compared to June 2022, and up 8.1% from July 2021. One metro area saw a year-over-year decrease in Median Sales Price, Dallas, TX at -1.9%. Twenty-seven metro areas increased year-over-year by double-digit percentages, led by Tampa, FL at +23.7%, Fayetteville, AR at +21.6%, and Raleigh, NC at +19.1%.

Median Sales Price:
5 Markets with the Biggest YoY Increase
MarketJul 2022
Median Sales
Price
Jul 2021
Median Sales
Price
Year-over-
Year %
Change
Tampa, FL$377,260$305,000+23.7 %
Fayetteville, AR$335,000$275,500+21.6 %
Raleigh, NC$448,250$376,390+19.1 %
Miami, FL$445,000$375,000+18.7 %
Nashville, TN$459,000$387,250+18.5 %

Close-to-List Price Ratio – Average of 53 metro area prices
In July 2022, the average Close-to-List Price Ratio of all 53 metro areas in the report was 101%, down 1.3% compared to June 2022, and down 1.1% compared to July 2021. The Close-to-List Price Ratio is calculated by the average value of the sales price divided by the list price for each transaction. When the number is above 100%, the home closed for more than the list price. If it’s less than 100%, the home sold for less than the list price. The metro areas with the lowest Close-to-List Price Ratio were Coeur d’Alene, ID and Miami, FL, tied at 97%, followed by another tie between Bozeman, MT and New Orleans, LA at 98%. The highest Close-to-List Price Ratios were in Burlington, VT at 105%, followed by a five-way tie between Boston, MA, Hartford, CT, Manchester, NH, Richmond, VA, and San Francisco, CA at 104%.

Close-to-List Price Ratio:
5 Markets with the Biggest YoY Decrease
MarketJul 2022
Close-to-List
Price Ratio
Jul 2021
Close-to-List
Price Ratio
Year-over-
Year %
Change
Seattle, WA99.7 %105.6 %-5.5 %
San Francisco, CA103.9 %109.2 %-4.9 %
Denver, CO100.4 %103.6 %-3.1 %
Salt Lake City, UT99.6 %102.5 %-2.9 %
Raleigh, NC101.9 %104.9 %-2.8 %

Months’ Supply of Inventory – Average of 53 metro areas
The number of homes for sale in July 2022 was up 13.3% from June 2022 and up 30.4% from July 2021. Based on the rate of home sales in July 2022, the Months’ Supply of Inventory increased to 1.8 compared to 1.4 in June 2022, and increased compared to 1.2 in July 2021. In July 2022, the markets with the lowest Months’ Supply of Inventory were Albuquerque, NM at 0.7 followed by Manchester, NH at 0.8.

Months’ Supply of Inventory:
5 Markets with the Biggest YoY Increase
MarketJul 2022
Months’ Supply
of Inventory
Jul 2021
Months’ Supply
of Inventory
Year-over-
Year %
Change
Raleigh, NC1.60.5+257.4 %
Phoenix, AZ4.41.2+254.3 %
Las Vegas, NV3.81.1+252.9 %
Salt Lake City, UT2.20.7+209.9 %
San Diego, CA2.00.7+191.5 %

Content created by Conservative Daily News and some content syndicated through CDN is available for re-publication without charge under the Creative Commons license. Visit our syndication page for details and requirements.

Carl Fox

Carl Fox is the senior money and finance writer for Conservative Daily News. Follow him in the "Money & The Economy" section at CDN and see his posts on the "Junior Economists" Facebook page.

Share
Published by
Carl Fox

Recent Posts

President Joe Biden’s Schedule for Thursday, October 6, 2022

Schedule Summary: President Joe Biden will travel to New York and New Jersey where he will…

21 mins ago

Crime Wave: Murder Rate Rose More Than 30% in Two Years, FBI Report Suggests

The number of murders nationwide rose by approximately 30% during 2020 and 2021, according to…

6 hours ago

Cook Political Report Delivers Bad News For Texas Democrat

Cook Political Report, a campaign analysis firm, changed the race between Texans Democratic Rep. Vicente…

6 hours ago

States Move To End ‘Forced Labor’ In Prisons

Several states are considering rejecting provisions in the 13th Amendment within their state constitutions that…

6 hours ago

Why More Dense Housing Means More Spacious Living

Over the years, FEE has published and republished several articles about something called “market urbanism.”…

6 hours ago

Gas Guru Predicts Massive Price Increase At The Pump

Recent production cuts by OPEC are predicted to raise gas prices by 15 to 30…

6 hours ago